Accommodation companies urged to stop demanding deposit from NSFAS funded university students
The National Student Financial Aid Scheme (NSFAS) has urged landlords not to require a deposit or top-up payment from NSFAS-funded students.
This arrives soon after NSFAS received reports about some accommodation vendors who demand NSFAS-funded students to pay for a deposit or top-up payment as a way to get entry to the accredited private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies in the compulsory conditions, as provided by the Standardised Fixed-Term Lease Settlement concerning the personal accommodation companies and NSFAS funded students," NSFAS stated in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease will likely be paid month-to-month to the accommodation service provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation companies’ participation on the student accommodation portal.
"The lessor may not require or allow the lessee to pay a deposit, top-up payments, or another sorts of payment for the lessor, or any other person in reference to this agreement, which include payment of lease, though awaiting payment from NSFAS. The lessor shall don't have any recourse against here the lessee for any default during the payment of rent by NSFAS," the agreement reads.
The NSFAS conditions and terms for private nsfas eligibility criteria accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect determination by NSFAS, the coed will not be accountable for payment of any arrear rent to the accommodation supplier, up until the day of being defunded."
NSFAS explained that the place the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding getting defunded by NSFAS, the scholar will be responsible for payment of hire towards the lessor through the day of becoming defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the student must immediately vacate the leased property; and will be liable for payment of all rent due to the accommodation provider.
"Where the student moves, accommodation more info providers without the prior approval of NSFAS, NSFAS may elect website not to pay any rental to the new accommodation provider, and any such rental payments will be for the student own account," the scheme said.
The scheme emphasised that any dispute arising between the parties regarding the interpretation or implementation of the agreement, must be dealt with in accordance with any dispute resolution procedure nsfas student allowances determined by NSFAS for this purpose.
From: SAnews.gov.za